Income Allocation

Income Allocation is the process of allocating the values of posted transactions that were made to the pool general ledger account in the financial system along with gains, losses, interest, and fees added to the batch in the Fund Investment Tool to the appropriate Funds.

In the Fund Investment Tool, all funds are placed into all investment pools and then when the batch calculates, the calculation process removes funds that do not have a balance in the pool GL account.

Income Allocation Example

Process Sheet for each Allocation

• Enter effective period, post-date, and pool to determine which funds are being allocated and which dates are used as a basis.
• Input income allocation values by Income Type.
• Integration and import options available for initial capture if investment data aggregation is used.

Audit Sheet

• Displays basis for fund balances and results by allocation type: realized, unrealized, interest & dividends, etc.

Journal Entries Result

• Click “Send Journal Entries to FE” to create open journal entry in Financial Edge NXT.